Ford is working to reduce greenhouse gas emissions from its supply chain. It plans to survey its top 35 suppliers on their energy use and emissions, representing $20 billion in procurement. This will help Ford understand its supply chain carbon footprint and create a carbon management approach. Ford aims to reduce its overall emissions by 30% by 2020 in response to pressure from investors. By collaborating with suppliers on efficiency, Ford hopes to put pressure on low performers and gain cost reductions as suppliers improve operations.
Sitra commissioned Ecofys to describe the science-based targets methodology and to provide information about the process. This report explains why and how companies can set their own science-based emission reduction targets and show the benefits at company level. In connection to this report, two leading Finnish companies have demonstrated, how the process works and what kind of benefits they have gained by setting science-based targets.
The Portfolio Decarbonisation Coalition presented the results of an investor research titled "Flicking the switch: are electric utilities prepared for a low carbon future?" at an event organised by Finsif, CDP and Sitra on 25 August 2015. The theme of the event was "Managing climate risk in investments".
James Magness from CDP presented the results of an investor research titled "Linking emissions-related metrics to earnings for global chemical companies" at an event organised by Finsif, CDP and Sitra on 25 August 2015. The theme of the event was "Managing climate risk in investments".
Benefits of Ambitious Sustainability Goals and Evolving Levels of Data Transp...Sustainable Brands
Don Bain, Software Evaluation Services, GHG Institute
Saleem Van Groenou, Global Environmental Initiatives Manager, HP
Kevin Moss, Head of Net Good Program, BT
Roberta Barbieri, Global Environmental Manager, Diageo
Is it wise and value-adding to announce specific bold sustainability goals without necessarily having a play-by-play road map for how you will get there? How does the value of intentionality manifest itself and how do big goals inspire big ideas? How does the voluntary release of total environmental impacts across the supply chain, operations and portfolio of products add brand value to a global company? Are the benefits of such transparency a no-brainer?
A short presentation on the 2011 trends, issues and highlights in global corporate sustainability and corporate responsibility reporting. Looking at how sustainability reporting is evolving, leading sectors, issues coming up the agenda and the outlook around integrated reporting.
This presentation by Maurits Dolmans (Partner, Cleary Gottlieb) was made during the discussion “Sustainability and competition” held at the 134th meeting of the OECD Competition Committee on 1 December 2020. More papers and presentations on the topic can be found at https://oe.cd/stbc.
This presentation was uploaded with the author’s consent.
The Low Carbon Economy GS SUSTAIN equity investor’s guide to a low carbon world, 2015-25 We explore the low carbon economy, now a growing, $600 bn+ pa revenue opportunity. Between 2015 and 2020, solar PV and onshore wind will add more to global energy supply than US shale oil production did between 2010 and 2015. By 2020, six in ten lightbulbs will be LEDs; and our analysts expect carmakers to sell 25 million hybrid & electric vehicles by 2025, 10x more than today. We estimate that these technologies will save >5 Gt of CO2 emissions per annum by 2025 and could help global emissions to peak earlier than expected around 2020, with ripple effects felt across our global coverage.
Sitra commissioned Ecofys to describe the science-based targets methodology and to provide information about the process. This report explains why and how companies can set their own science-based emission reduction targets and show the benefits at company level. In connection to this report, two leading Finnish companies have demonstrated, how the process works and what kind of benefits they have gained by setting science-based targets.
The Portfolio Decarbonisation Coalition presented the results of an investor research titled "Flicking the switch: are electric utilities prepared for a low carbon future?" at an event organised by Finsif, CDP and Sitra on 25 August 2015. The theme of the event was "Managing climate risk in investments".
James Magness from CDP presented the results of an investor research titled "Linking emissions-related metrics to earnings for global chemical companies" at an event organised by Finsif, CDP and Sitra on 25 August 2015. The theme of the event was "Managing climate risk in investments".
Benefits of Ambitious Sustainability Goals and Evolving Levels of Data Transp...Sustainable Brands
Don Bain, Software Evaluation Services, GHG Institute
Saleem Van Groenou, Global Environmental Initiatives Manager, HP
Kevin Moss, Head of Net Good Program, BT
Roberta Barbieri, Global Environmental Manager, Diageo
Is it wise and value-adding to announce specific bold sustainability goals without necessarily having a play-by-play road map for how you will get there? How does the value of intentionality manifest itself and how do big goals inspire big ideas? How does the voluntary release of total environmental impacts across the supply chain, operations and portfolio of products add brand value to a global company? Are the benefits of such transparency a no-brainer?
A short presentation on the 2011 trends, issues and highlights in global corporate sustainability and corporate responsibility reporting. Looking at how sustainability reporting is evolving, leading sectors, issues coming up the agenda and the outlook around integrated reporting.
This presentation by Maurits Dolmans (Partner, Cleary Gottlieb) was made during the discussion “Sustainability and competition” held at the 134th meeting of the OECD Competition Committee on 1 December 2020. More papers and presentations on the topic can be found at https://oe.cd/stbc.
This presentation was uploaded with the author’s consent.
The Low Carbon Economy GS SUSTAIN equity investor’s guide to a low carbon world, 2015-25 We explore the low carbon economy, now a growing, $600 bn+ pa revenue opportunity. Between 2015 and 2020, solar PV and onshore wind will add more to global energy supply than US shale oil production did between 2010 and 2015. By 2020, six in ten lightbulbs will be LEDs; and our analysts expect carmakers to sell 25 million hybrid & electric vehicles by 2025, 10x more than today. We estimate that these technologies will save >5 Gt of CO2 emissions per annum by 2025 and could help global emissions to peak earlier than expected around 2020, with ripple effects felt across our global coverage.
For more information on Carbon Credits including Carbon Credits Trading and How to buy and sell Carbon Credits please visit us at: http://www.carboncreditstradinginfo.com
Green ICT in Singapore - Path to responsible and sustainable growthVikas Sharma
A white paper I wrote back in 2009 for a government client in Singapore (publishing here since it is a non-confidential document available in the public domain). It provides an overview of the relevance of green ICT and how Singapore ICT companies are contributing in this space.
Carbon markets 101 introduces the market mechanisms under the Kyoto Protocol and related initiatives. It helps executives and managers understand emerging business issues around carbon trading, emission reduction projects and carbon monitoring.
GreenBiz Forum 2015 Tutorial Slides: "The Science of Science-Based Goals" - N...GreenBiz Group
Slides for "The Science of Science-Based Goals" tutorial. As scientific research on climate change builds and becomes increasingly quantifiable, companies have new opportunities to use measurable data to set sustainability and climate goals. By understanding the impact your company can have in this universal context, you can set defensible goals driving towards real global impact. Dozens of large companies have set science-based greenhouse gas, carbon-neutral and renewable energy goals. This tutorial shows how leading companies are tackling this challenge, including the tools and knowledge to set goals in your company.
Australian ETS and carbon policy: How this will affect your businessDarrin Bird
Presentation by Darrin Bird CEO Carbonza to the Backpacker Operators Association of NSW regarding the upcoming Emission Trading scheme and operating a business in a carbon constrained society
GreenBiz Forum 2015 Tutorial Slides: "The Science of Science-Based Goals" - D...GreenBiz Group
Slides for "The Science of Science-Based Goals" tutorial. As scientific research on climate change builds and becomes increasingly quantifiable, companies have new opportunities to use measurable data to set sustainability and climate goals. By understanding the impact your company can have in this universal context, you can set defensible goals driving towards real global impact. Dozens of large companies have set science-based greenhouse gas, carbon-neutral and renewable energy goals. This tutorial shows how leading companies are tackling this challenge, including the tools and knowledge to set goals in your company.
Leading player in Energy and Sustainability Services
Led more than 500 sustainability service offerings( CSR, EIAs, LCAs, CDM, Environmental Finance etc.)
Sectors( Energy and Infrastructure, Mines and Metals, Manufacturing, Habitats, Forestry, Agriculture) and
Geographies (India, Srilanka, Thailand, Philippines, Indonesia, Nigeria, Kenya, Tanzania)
Clients (Governments, Multilaterals, UN, Business groups, NGOs)
Delivered more than 500 million USD benefits to clients
Operating across India, South East Asia and Africa
Motivations for Water Stewardship Strategy at GreenBiz16 02-24-2015Heather Rippman
Join Heather Rippman from the CEO Water Mandate to explore the unique motivations behind corporate water stewardship strategies at Ford Motor Company, Gap, Inc., Olam International, and Ecolab. Understand how diverse water-related risks necessitate different approaches to water stewardship in direct operations and supply chains across multiple industries, and how Sustainable Development Goal #6 for Water and Sanitation can provide a unifying framework to track and report progress.
Seen as one of the most effective ways to reduce climate-damaging greenhouse gas (GHG) emissions and drive clean-tech investment, carbon pricing policies are being employed by governments around the globe...
GreenBiz Forum 2015 Workshop Slides: "Conflict Minerals: Creating Industry-wi...GreenBiz Group
Slides for "Conflict Minerals: Creating Industry-wide Solutions". Thousands of companies and their suppliers face a growing challenge: New laws and changing consumer expectations make it increasingly important to uncover “conflict minerals” such as gold and tin. Companies that normally compete are collaborating. Learn how and why consumer electronics and automotive companies and their suppliers are developing common tools and industry-wide solutions.
For more information on Carbon Credits including Carbon Credits Trading and How to buy and sell Carbon Credits please visit us at: http://www.carboncreditstradinginfo.com
Green ICT in Singapore - Path to responsible and sustainable growthVikas Sharma
A white paper I wrote back in 2009 for a government client in Singapore (publishing here since it is a non-confidential document available in the public domain). It provides an overview of the relevance of green ICT and how Singapore ICT companies are contributing in this space.
Carbon markets 101 introduces the market mechanisms under the Kyoto Protocol and related initiatives. It helps executives and managers understand emerging business issues around carbon trading, emission reduction projects and carbon monitoring.
GreenBiz Forum 2015 Tutorial Slides: "The Science of Science-Based Goals" - N...GreenBiz Group
Slides for "The Science of Science-Based Goals" tutorial. As scientific research on climate change builds and becomes increasingly quantifiable, companies have new opportunities to use measurable data to set sustainability and climate goals. By understanding the impact your company can have in this universal context, you can set defensible goals driving towards real global impact. Dozens of large companies have set science-based greenhouse gas, carbon-neutral and renewable energy goals. This tutorial shows how leading companies are tackling this challenge, including the tools and knowledge to set goals in your company.
Australian ETS and carbon policy: How this will affect your businessDarrin Bird
Presentation by Darrin Bird CEO Carbonza to the Backpacker Operators Association of NSW regarding the upcoming Emission Trading scheme and operating a business in a carbon constrained society
GreenBiz Forum 2015 Tutorial Slides: "The Science of Science-Based Goals" - D...GreenBiz Group
Slides for "The Science of Science-Based Goals" tutorial. As scientific research on climate change builds and becomes increasingly quantifiable, companies have new opportunities to use measurable data to set sustainability and climate goals. By understanding the impact your company can have in this universal context, you can set defensible goals driving towards real global impact. Dozens of large companies have set science-based greenhouse gas, carbon-neutral and renewable energy goals. This tutorial shows how leading companies are tackling this challenge, including the tools and knowledge to set goals in your company.
Leading player in Energy and Sustainability Services
Led more than 500 sustainability service offerings( CSR, EIAs, LCAs, CDM, Environmental Finance etc.)
Sectors( Energy and Infrastructure, Mines and Metals, Manufacturing, Habitats, Forestry, Agriculture) and
Geographies (India, Srilanka, Thailand, Philippines, Indonesia, Nigeria, Kenya, Tanzania)
Clients (Governments, Multilaterals, UN, Business groups, NGOs)
Delivered more than 500 million USD benefits to clients
Operating across India, South East Asia and Africa
Motivations for Water Stewardship Strategy at GreenBiz16 02-24-2015Heather Rippman
Join Heather Rippman from the CEO Water Mandate to explore the unique motivations behind corporate water stewardship strategies at Ford Motor Company, Gap, Inc., Olam International, and Ecolab. Understand how diverse water-related risks necessitate different approaches to water stewardship in direct operations and supply chains across multiple industries, and how Sustainable Development Goal #6 for Water and Sanitation can provide a unifying framework to track and report progress.
Seen as one of the most effective ways to reduce climate-damaging greenhouse gas (GHG) emissions and drive clean-tech investment, carbon pricing policies are being employed by governments around the globe...
GreenBiz Forum 2015 Workshop Slides: "Conflict Minerals: Creating Industry-wi...GreenBiz Group
Slides for "Conflict Minerals: Creating Industry-wide Solutions". Thousands of companies and their suppliers face a growing challenge: New laws and changing consumer expectations make it increasingly important to uncover “conflict minerals” such as gold and tin. Companies that normally compete are collaborating. Learn how and why consumer electronics and automotive companies and their suppliers are developing common tools and industry-wide solutions.
CDP Global Supply Chain Report 2014: Collaborative Action on Climate RiskSustainable Brands
For the 2014 report, 2868 companies--representing 14% of global industrial emissions--reported carbon data. The findings show that despite 75% of companies identifying current or future risk from climate change, investment in emissions reductions dropped 22% from the previous year and these investments are focusing more on short term returns.
The report revealed that companies that collaborate with supply chain stakeholders are 2x more likely to realize financial return from investments in emissions reductions.
The report also shows the importance of employee engagement. Companies that involve more than 4 functions in supply chain sustainability were 2x more likely to realize emission reductions and 4x more likely to generate monetary savings.
There is increasing pressure on energy producers from climate risks. One key concept which is gaining prominence in lieu of the risks is “Carbon Bubble” and the related impact of divestment movement. As a part of the Paris climate agreement, 192 countries reaffirmed their commitment to reduce emissions and limiting the global temperature increase to less than 20C. Energy producing companies are under scrutiny from investors, shareholders, employees and customers and other related stakeholders to reduce carbon footprint and to demonstrate that their business are aligned to help build an efficient “Low Carbon Portfolio”. The goal is to channelize investments, assess climate risks and opportunities and mitigate future climate change trajectories, align it as key service for fossil fuel energy divestment, portfolio and asset management.
There is increasing pressure on energy producers from climate risks. One key concept which is gaining prominence in lieu of the risks is “Carbon Bubble” and the related impact of divestment movement. As a part of the Paris climate agreement, 192 countries reaffirmed their commitment to reduce emissions and limiting the global temperature increase to less than 20C. Energy producing companies are under scrutiny from investors, shareholders, employees and customers and other related stakeholders to reduce carbon footprint and to demonstrate that their business are aligned to help build an efficient “Low Carbon Portfolio”. The goal is to channelize investments, assess climate risks and opportunities and mitigate future climate change trajectories, align it as key service for fossil fuel energy divestment, portfolio and asset management.
As the Coalition Government promises to tear out large sections of the rulebook and relax targets in an attempt to ease the strain on struggling UK businesses, it is tempting to conclude that environmental sustainability initiatives can be put on a backburner. In crisis mode, the country and its commercial entities surely have more pressing concerns?
Keeping the lights on remains one of them and this demands that organisations can continue to balance their books. Evidence has shown that there is a direct correlation between energy efficiency and cost efficiency for a business. As a result, the attention paid to carbon emissions monitoring and management is no longer something that is automatically handed over to corporate social responsibility and marketing teams.
At more astute companies, the discipline is now firmly on the radar of the finance department. If international pledges and government targets around global warming have done anything positive for businesses, it is to encourage them to measure and gain an appreciation for just how much wastage goes on in companies – and how much this is costing them.
The following white paper assesses the current landscape for carbon emission monitoring, exploring not only companies’ regulatory responsibilities for behaving in a more environmentally sustainable way but also how, through systematic, integrated measuring and reporting, they can substantially reduce their internal costs at a time when energy prices and other business costs are escalating at a punishing rate.
To find out more about our carbon accounting solutions please contact us on 01582 714 810.
The presentation of Katriina Alhola and Jáchym Judl of Finnish Environmental Institute (SYKE) in the Carbon Game -event. It was organised by Sitra in collaboration with Climate Partners and SYKE. In the event the definition and rules of carbon neutrality were discussed as well as how carbon neutrality is seen in business both in Finland and globally.
See also the separate presentations of the event and workshop by Katriina Alhola and Professor Greg Norris.
Energy & Sustainability Goal-Setting: A Guide To 7 Top Third Party StandardsLeon Pulman
Recent research finds that organizations have more success on energy and sustainability initiatives when they set public goals. But with so many options available, how do you determine which goals will drive the greatest value for your organization? And against what criteria should you assess them?
Our goals primer eBook summarizes the top global, third-party benchmarking standards and recommends how to choose the right one to accelerate your energy and sustainability ambitions.
Sustainability goal setting guide to 7 top third party standardsJackson Seng
Recent research finds that organizations have more success on energy and sustainability initiatives when they set public goals. But with so many options available, how do you determine which goals will drive the greatest value for your organization? And against what criteria should you assess them?
Our goals primer eBook summarizes the top global, third-party benchmarking standards and recommends how to choose the right one to accelerate your energy and sustainability ambitions.
A carbon footprint is the amount of greenhouse gases—primarily carbon dioxide—released into the atmosphere by a particular human activity. A carbon footprint can be a broad meaasure or be applied to the actions of an individual, a family, an event, an organization, or even an entire nation.
Similar to Value chain carbon accouting auto sector (20)
2. EcoLogic Consultancy
Value-chain Carbon Accounting – Ford takes lead
Worldwide the motor vehicles emit 1 billion tonnes of CO2 annually, 15% of total global carbon
emissions. In the United States, the emissions have increased by 28% from 1990 to 2008 –driven by the
increased travel and sales mix favoring bigger cars. Rising awareness on climate change and its
impacts on business coupled with pressure from investors have led to Ford creating concrete plans to
reduce the GHG emissions from its cars. It has started working with its suppliers to take control of its
supply chain carbon footprint as it creates internal plan for the GHG mitigation.
GHG mitigation spreads to supply chains as well
Ford plans to survey its top 35 global suppliers on their energy use and greenhouse gas emissions.
This is a part of building an understanding of its supply chain’s carbon footprint. This data will be
used to create a carbon-management approach for the company. The suppliers represent about 20
billion US dollars spend by Ford on its procurement. The key to Ford’s actions is that of driving
carbon footprint reduction and energy efficiency gains in energy constrained world. The efforts this
time will be collaborative and information sharing driven as against individual, stand-alone efforts
taken the suppliers. This is bound to put pressure on suppliers that score low on the energy
efficiency to internalize and implement best practices from more energy-efficient counterparts. The
suppliers in the initial list will include suppliers of energy intensive and therefore high carbon
footprint components such as the seats, steering systems, tires and metal components.
Investors in the driving seat
The efforts are in line with Fords stated goal of reducing their greenhouse gas emissions by 30% by
2020 from 2006 baseline. This goal was set in response to the pressure from investors such as
Interfaith Center for Corporate Responsibility (ICCR) and Investor Network on Climate Risk
Network (INCR). The members of the ICCR include more than 300 religious institutional investors
with more than 100 billion US dollars in investments. INCR is a network with members holding
more than 5 trillion US dollars in investments. INCR includes the Connecticut State Treasury office,
a shareholder in Ford.
Ford has responded to the investor pressure by creating a fuel emission goal of 30% less emission
by 2020 in line and towards the 60-80% reduction by 2050 that Ford intends to implement as a
part of US Climate Action Partnership. This partnership includes Chrysler, General Motors and
other US companies. Ford has been able to achieve a 39% reduction in GHG emissions from 2000 to
2007. The difference from the earlier approaches is that of Fords goal this time is very action
oriented step as against the earlier norm of agreeing to undertake enhanced reporting and general
goal setting without a clear plan in place.
Value-chain Carbon Accounting – Ford takes lead Insights Series
3. EcoLogic Consultancy
More than just Carbon – it is about costs
There are going to be direct gains for Ford in these efforts. Apart from meeting investor
expectations on climate change disclosures, collaborating with suppliers on carbon, energy and
therefore cost-saving measures will allow it to put pressure on suppliers for cost reductions as they
gain efficiency in their operations, partly assisted by Ford.
Share and Learn
To make this practice more of a norm across the industry, Ford will share the feedback on the data
collection process with World Resource Institute and World Business Council for Sustainable
Development. Both institutes are leading a global collaboration of businesses, governments and
non-governmental organizations to develop credible methods for measuring and reporting
corporate greenhouse gas emissions. They are currently drafting a new standard to be used to
measure indirect or Scope 3 emissions. In tandem, Ford is participating in the Carbon Disclosure
Project Supply Chain Program.
Relevance to Indian Companies
The changes coming up are not a fashion statement, rather signs of the future to come. The
pressures on companies and therefore the suppliers will come from carbon, energy and thus cost
side. Companies at all stages of value chain must be prepared for this future. Having understood
ones carbon footprint, components and drivers of it is the first step of preparedness. Even if the
operations are not energy efficient at high standards, the organization is aware of the specific areas
of interventions.
While building the understanding of its carbon footprint, the organization will get enabled to
respond to investor-facing communications, get ready for future regulations that may arise and also
find opportunities for reducing carbon emissions that can become carbon credit projects. With
carbon accounting and understanding becoming a market access requirement, there are
significantly more long term benefits as against short term costs of carbon accounting and
management enablement of an organization.
References
1. www.greenpeace.org - Deep Green: Cars, Corporations and Society
2. http://www.socialfunds.com/news/article.cgi/2497.html
3. http://www.iccr.org/news/press_releases/2008/pr_ford04.09.08.htm
4. http://www.automotive-fleet.com/News/Story/2010/06/Ford-Probes-GHG-Emissions-of-
Supply-Chain.aspx?interstitial=1
Value-chain Carbon Accounting – Ford takes lead Insights Series
4. EcoLogic Consultancy
About Us
EcoLogic Consultancy came into existence with the purpose of “To help our clients in
understanding, establishing sound Environment Management Systems, and pursuing sustainable
business solutions through our various services to abate direct and indirect impact on ecological
balance.”
We have expertise in the areas of carbon accounting and management, energy management
systems, voluntary/compliance carbon markets, environment management and sustainability and
carbon branding.
To know more about EcoLogic, please visit http://www.ecologicconsultancy.in
To schedule a meeting or a discussion with us, do reach us on
Kedar - +91-9000772462 – kedar@ecologicconsultancy.in
Indrajeet - +91-9028788430 – indrajeet@ecologicconsultancy.in
Value-chain Carbon Accounting – Ford takes lead Insights Series